DAX Xetra (cash index)
There is a lack of conviction in moves across equity markets as traders remain without the crutch of Wall Street in the early part of today’s session.
However, there is still a sense that near term recoveries on DAX remain a chance to sell.
There is a mini trend lower over the past week or so, and the early rebound back to the overhead supply around 11,230 is a confluence with this trend lower.
Momentum indicators give a mixed picture for the DAX right now, but the medium term negative bias continues to suggest that intraday rallies will struggle.
- There is initial support in the past few days around 11,115 which comes in above the key low this week at 11,009.
- However, rallies are still likely to fail around the 11,230 pivot area with Wednesday’s high at 11,258 worth watching especially on a closing basis.